An employee worked 2.5 hours of overtime in a month. Let's assume their gross salary is ₹15,000.
How should the overtime amount be calculated?
The general shift consists of 9 hours with 6 days of work per week.
From India, Kolkata
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2How should the overtime amount be calculated?
The general shift consists of 9 hours with 6 days of work per week.
From India, Kolkata
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As per Section 59 of the Factories Act, when a worker works for more than 9 hours in a day or 48 hours in a week, he/she will be entitled to overtime wages at twice the ordinary rate of wages.
The ordinary rate of wages will include Basic + Other Allowances. In your case, it will be the Gross Salary.
Regards,
MVK
From India, Madras
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The ordinary rate of wages will include Basic + Other Allowances. In your case, it will be the Gross Salary.
Regards,
MVK
From India, Madras
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MIN WAGE RATE UA.PDF
Factories Act.doc